[260616.EN.BIZ] DHL eCommerce Boosts Presence in China by 50pc

A DIVISION of major logistics company Deutsche Post DHL Group, DHL eCommerce, has announced plans to grow its overall presence in China by over 50 per cent as online retail and the corresponding demand for quality logistics solutions continues to soar.

The company has opened its new DHL eCommerce Shenzhen Distribution Centre, and will also expand its existing distribution centres in Shanghai and Hong Kong to support the growth of online retailers, according to a company statement.

The DHL eCommerce Shenzhen Distribution Centre, which serves as the consolidation point for all South China international outbound shipments, has the capacity to handle up to 18 million shipments a year and will allow for faster, more streamlined shipment and clearance of e-commerce exports to the rest of the world.

"We see significant potential in China's e-commerce sector, particularly between China and the US, where we've seen triple digit growth since 2015," said DHL eCommerce chief Charles Brewer.

"With China accounting for more than 40 per cent of global retail e-commerce sales in 2015, our investments in China demonstrate our focus on developing efficient and reliable logistics services, to bring high quality e-commerce services to Chinese retailers and meet changing consumer expectations."

"Cross-border e-commerce already accounts for almost 20 per cent of China's foreign trade, and the country's B2C e-commerce market is expected to grow at a CAGR of over 30 per cent from now till 2020," said CEO, Asia Pacific, DHL eCommerce, Malcolm Monteiro. "With the ability to scale up its size by 150 per cent, the DHL eCommerce Shenzhen Distribution Centre is fully capable to support this growing demand over the coming years."

The launch of the Shenzhen Distribution Centre comes at the back of the highly successful DHL eCommerce Shanghai Distribution Centre in Jiuting, which acts as a central consolidation point for outbound e-commerce goods particularly in the eastern and northern parts of China.

To cater to the growing demand across the Greater China region, DHL eCommerce is expanding both its Shanghai and Hong Kong distribution centres, which will be able to handle 48 million and 71 million shipments respectively, on an annual basis, upon completion.

Source : HKSG.